Casinos would get time to adjust to potential ban
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Smoking ban especially bad for state economy by Jackson Citizen Patriot June 07, 2008 Categories: Voice of the People CHICAGO — The May 30 editorial in favor of an all-out smoking ban oversimplifies the issue. Some economists have shown that businesses in states with colder climates, such as Michigan, are harder hit by smoking bans than businesses in warmer states, where patio areas can be set aside for smokers even during the colder months. Casinos are at a particular disadvantage if smoking is banned since they require patrons to be actively placing bets — a feat quite difficult for someone forced to stand 10 feet outside in a foot of snow and 30 mph crosswinds. The Associated Press in February reported that after the Illinois smoking ban took effect, "The Harrah's Metropolis Casino reported an approximately 23 percent drop in revenue since December and that it was laying off 30 people." The Illinois Gaming Board reported that casinos in the state experienced a 17 percent revenue decrease in January compared with January last year. What will this mean to Michigan? It will push even more tax and business revenue out of a slumping economy into other states where smoking is allowed. — John Nothdurft, legislative specialist The Heartland Institute Read
Smoking ban blamed for casino woes March 16, 2008
By LINDA N. WELLER ALTON - January's decline in admissions and revenues at Argosy Casino in Alton continued in February, with nearly 25 percent lower revenues last month than in February 2007. The Illinois Gaming Board recently released its figures for February for all nine of the state's casinos, with eight of them recording lower revenues than in February 2007, with an average decrease of 12.88 percent. Argosy's comparative drop was the largest at 24.93 percent. Because 2008 is a leap year, numbers from last month represent an extra day of business compared with numbers from 2007. During the same two months' comparison, admissions at Argosy dropped 11.30 percent, from 111,917 to 99,273 - the latter number being 6.94 percent lower than January 2008 admissions of 106,675. The statewide admissions averaged a drop of only 3.3 percent; adjusted gross receipts dipped just 0.54 percent, on average. Alton's Argosy fared less well from the first to second months of the year. Adjusted gross receipts declined by 5.26 percent from January's $8,053,000, to $7,629,000 in February at Argosy. Last month, some people blamed several factors for the slump: the new state smoking ban in businesses and other public places for the decline in admissions, the downturn in the economy and poor weather. Tom Swoik, executive director of the Springfield-based Illinois Casino Gaming Association, on Friday blamed the drop squarely on the statewide smoking ban that went into effect Jan. 1. Swoik also was not optimistic about the numbers turning around. "I think it will continue to see this trend; we expect it to continue," he said. The association tracks declining admissions and adjusted gross receipts, which aren't rebounding, at casinos in Delaware and Windsor, Ontario, where smoking is banned. Closer to Illinois, the gaming group also has been comparing numbers from four Northern Illinois and four Northern Indiana casinos that are geographically close. Smoking is allowed at the Indiana casinos. "In January in Indiana, the weather was the same and the economy was the same; we were down almost 10 percent more than they were," Swoik said. He said the four Illinois casinos saw revenues drop 20 percent and Indiana's go down 11 percent. Officials with the city of Alton, dependent on gaming revenues for capital and operational expenses, are monitoring the admissions and receipts - along with other declining tax revenues. "The state predicted we would lose $3.5 million in taxes this year," Alton Mayor Don Sandidge said. "We will have to go back and do more cutting; I've stressed this to the aldermen." During the recent city budget hearings, Comptroller Stephanie Elliott said state officials have predicted Alton will receive less corporate property taxes and income tax revenue. In the draft budget for fiscal year 2008-2009, city property tax revenues are listed as going up from $2,188,040 to $2,262,553, but other non-gaming taxes will go down from $9,945,997 this fiscal year to $9,657,441 next fiscal year, which begins April 1. The proposed budget shows property tax revenues may go down from $2,294,302 received by March 31 of last year to $2,262,553 next fiscal year. Argosy saw adjusted gross receipts (AGR) drop 21.16 percent, from $10.214 million in January 2007 compared to $8.053 million in January 2008. Comparing the same months, admissions dropped by 7.43 percent, from 115,237 in January 2007 to 106,675 last month, the monthly Gaming Board report says. Argosy's AGR between December 2007 and January 2008 dropped from $9.326 million to the $8.053 million figure. The January decline in the Alton casino's revenues didn't surprise Sandidge, who began predicting such drops last year. "We were tracking it. (AGR) was down 7 percent at first, then as the month progressed, it was down 17 percent," so the 21.16 percent decline was about what officials expected, he said last month. "We hope things turn around to what it was," the mayor said. "This happened before when they opened new casinos in Missouri, but the smoking ban has hurt us. In Springfield, it took two years to recover (from the smoking ban in the state's capital city). "I hope it won't take that long here," he said. Last month, Swoik also said the statewide decline in gaming revenues was not unexpected. "We originally predicted revenue loss would be as high as 21 percent" statewide, Swoik said. "They were down 17.46 percent (statewide average) from January of last year to January of this year, but that is a little misleading. The Casino Queen saw a significant increase because of its new facility. It was down 2.19 percent (January 2007 versus January 2008), but the prior six months it had been up 24 percent." Swoik said bad weather also played a part in the decline in gaming revenues, but the smoking ban is the biggest reason. "It is a significant impact," he said. "We're very concerned, and we expect this will continue - at some level of loss." Every casino in Illinois saw a drop in adjusted gross revenue during the comparison of January 2007 and January 2008 - an average of 17.46 percent. Not all of the casinos, however, were down in admissions in the January-January comparison. East Peoria, Joliet-Harrah's and East St. Louis all were higher, with increases of 3.49 percent, 5.96 percent and 10.52 percent, respectively. The average of all the casinos, though, showed an admission loss of 5.86 percent when comparing those two months. Read
Smoking ban, economy forces Alton's casino to cut employees 03/08/2008
By Kathleen Haughney, ST. LOUIS POST-DISPATCH City officials in Alton have been forced to cut six jobs from next year's budget, in part because of a $1 million revenue loss from the city's casino. The Fire Department will lay off four firefighters and the Police Department will not fill two currently open slots, Alton Mayor Don Sandidge said. The mayor added that the city has been forced into some difficult decisions because of the lost revenue, which he attributes partly to the economy and partly to the state's smoking ban. The Illinois smoking ban went into effect Jan. 1 under the protest of many restaurant, bar and casino owners, who said it would harm business. Several Illinois lawmakers have proposed legislation to exempt certain businesses, such as casinos, but the proposals so far have gone nowhere. According to the Alton comptroller's office, the city expects to receive $5.2 million in tax revenue from the Argosy Casino compared to the $6.2 million it received for the past fiscal year. Tom Swoik, executive director for the Illinois Casino Gaming Association, said he hopes lawmakers will change their minds if revenue continues to drop, creating potential financial difficulties for municipal and state governments that depend on gaming tax dollars. According to reports from the Illinois Gaming Board, the Alton casino brought in a total of $15,682,000 in the first two months of 2008 compared with $20,377,000 in January and February 2007. Swoik said most casinos are noticing that some regular patrons who may come in for an hour or two now spend about a half-hour outside smoking. "Time away from the machines or tables is money," Swoik said. Eric Schippers, a spokesman for Argosy Casino owner Penn National Gaming, said the corporation believes that the loss of revenue is a combination of people going to Missouri, where casinos allow smoking, and of gamblers taking long cigarette breaks. He said he could not comment on whether the December opening of the new Lumiére Casino in St. Louis has had a significant impact. The difference in profit for the Casino Queen in East St. Louis is less dramatic. The Casino Queen brought in $27,524,000 during January and February of 2008 compared with $27,894,000 for that same time period in 2007. East St. Louis Mayor Alvin Parks said that the city budgeted cautiously in anticipation of a potential loss in gaming revenue. He added that while the city is bracing for any significant changes in revenue, the budget has not had to be altered thus far. "We certainly hope that situation stabilizes and people get accustomed to being without smoking," Parks said. Read
Casino funds up in smoke JOLIET EXPECTS TO LOSE MONEY WHEN GAMBLERS GAME IN STATES THAT DON'T BAN PUBLIC SMOKING. December 9, 2007 By BOB OKON Staff writer JOLIET -- The city of Joliet already expects its casino tax revenue to drop by 7.5 percent next year when a smoking ban takes effect. But that forecast could be low if the casino industry's prediction proves true. Illinois casinos are predicting a 20 percent decline in revenue strictly because of the smoking ban. "That's what happened in Delaware, and that's what happened in Windsor, Canada," said Tom Swoik, executive director of the Illinois Casino Gaming Association. Just what happens in Joliet, of course, won't be known until the city's two casinos start operating without cigarette and cigar smoke in the air. But Joliet's two casinos do tend to lose business when gamblers have a reason to switch to Indiana. And the smoking ban that goes into effect in January could be one such reason. Possible budget pinch City officials are showing signs that they expect their budget to be pinched by both a smoking ban next year and the prospect of more casino competition in the future. Last week, the city council cut back a four-year plan for managers' pay raises to one year, noting in part the uncertainty of future casino revenues. Councilman Warren Dorris did not mention the smoking ban. But he did say that more casinos in Illinois could dilute the amount of money Joliet has available to pay city employees in the future. State lawmakers are looking at a plan that could let a casino into Chicago and make room for as many as three additional casinos in Illinois. Cuts in use of gambling money The proposed city budget for 2008 forecasts a $2.8 million decline in casino revenue to $34.5 million. That's a small part of a $268 million budget. But the city is accustomed to seeing casino revenues rise. The city budget freezes the amount of gambling revenue that would be shared with school districts and other taxing bodies and nonprofit agencies. Schools would get $1.28 million like they did last year. But there are cuts in the use of gambling money for capital projects and one-time expenses, said Ken Mihelich, director of management and budget. Mihelich said the budget does not calculate any declines in revenue that could come if Joliet's two casinos have to compete with more casinos in Illinois. "We didn't do it at this point because there wasn't anything that would indicate that it would affect us in 2008," he said. If the state does approve more casinos, they aren't likely to open in 2008, he said, and the budget can be adjusted if they do. Mihelich said city officials believe their prediction of a 7.5 percent reduction in casino revenues is "conservative." There is a school of thought that casinos won't lose business because they'll attract more people who don't smoke and who avoid places where smoking is allowed. The casinos claim that they've accommodated nonsmokers with more sophisticated ventilation systems. Right now, they're more worried about losing gamblers who smoke. Not all gamblers smoke. But, Swoik said, "There seems to be a high correlation." Bob Okon can be reached at (815) 729-6046 or bokon@scn1.com Read
Smoke ban may mean less cash to casinos $1.4 million drop in tax revenue seen for aurora November 23, 2007 BY DAN CAMPANA Staff Writer AURORA -- Casino-goers who take smoke breaks between blackjack hands or rolls of the dice could mean fewer tax dollars for the city next year. City Finance Director Brian Caputo said he's reduced gaming tax revenue projections by $1.4 million in 2008 to account for the statewide smoking ban's debut on Jan. 1. The hit would be felt in the wager portion of the tax, which the city expects to bring in $14.5 million, but not the admission tax. "We think they'll have the same number of people coming in," Caputo explained, "But just not at the tables as long." The reason for that is simple. Gamers, including smokers, allot a set number of hours to spend at the casino. Those who take smoke breaks don't add additional time to their casino visit, meaning they spend less time on wagering, Caputo said. Money received through the gaming tax on Hollywood Casino supports aldermen's ward funds for street projects, a variety of social programs and to pay down debt. Gaming tax projections were compiled "months ago," Caputo said, before state legislators passed and Gov. Rod Blagojevich signed the smoking ban. Statewide, the local share of gaming tax is forecasted to dip by as much as $23 million, or 20 percent, from the $112 million doled out in 2006, according to Illinois Casino Gaming Association Director Tom Swoik. "We're going to have to see the impact it has," he said. "We're not expecting an immediate spring-back." It's uncertain if the smoke ban will have an effect on Kane County's Riverboat Grant program and other county projects that get their money from Elgin's Grand Victoria Casino. Based on a 10-year-old agreement, the Grand Victoria contributes 7.5 percent of its net operating income to the county which in turn provides grants to programs and projects with focuses on education, economic development or the environment. The county grants, which are for capital purposes, totaled a little more than $1 million when awarded in September. Hesed House, Hope Wall School and SciTech Hands-On Museum were among Aurora-area grant recipients this year. County Board Chairman Karen McConnaughay said the county has received about $7.6 million from Grand Victoria this year and, based on projections from July, expects around $9 million in 2008. McConnaughay hasn't heard from casino officials about the smoking ban's possible impact, but suggests the county might break even because a state program that diverted some gaming tax money to support horse racing has come to an end after two years. The return of those funds explains the projected increase for 2008, she said. As the ban approaches reality, the Illinois Casino Gaming Association continues its push for an amendment that would give casinos an exemption to allow smoking on gaming floors for five years or until the nearest neighboring state to a particular casino enacts a similar ban. On its Web site, Hollywood Casino touts 18-foot ceilings and "the freshest air around." Earlier this year, casino officials, who could not be reached for comment, discussed plans to build outdoor shelters for smokers, although no specifics were mentioned. Swoik complimented Hollywood Casino's work to accommodate smokers and non-smokers alike. "It's not like some of the smaller casinos that are smoke-filled rooms," he said. Swoik also thinks attendance at Illinois casinos could take a hit, especially with expectations that casinos in Wisconsin and Indiana will try to lure gamers to cross the border. "They will use this (Illinois' smoking ban) in their promotions," Swoik suggested. Read
Will proposed Riverboat Gambling Bill HB 0025 be replaced by HB 2035?
October 9, 2007
Surprise! Within H'B 0025's referral actions for Lost "Gaming" (06-01-07), on the "Gaming" Committee page is a linked Notice of Hearing for HB 2035. I did some exploring to find it, because someone told me that they had read every bit of verbiage in the amendments proposed for HB 0025 and could find no references to allow riverboat casinos a smoking exemption from Smoke Free Illinois. Read It appears to me that our IL legislators are playing games again. When I checked into HB 0025 and each of the activity references from 6-01-07 with Gaming links, I found the Notice of Hearing on October 17th for HB 0035. That's the bill (HB 2035) with references to extending smoking in casinos and verbiage to amend Smoke Free Illinois. Our elected officials will be attempting to incorporate gambling profits with transportation funding. (See below) I admit, I hadn't looked up the amendment language on HB 0025 before.....since, I think, it's the third bill this year that has been proposed to exempt the casinos, including a Chinese puzzle of multiple proposed amendments. This is still only an upcoming committee hearing for HB 2035, but seems our politicians haven't chosen to share its existence with the public yet. I could be wrong, but why haven't our Illinois House representatives extended the "action deadline" on HB 0025 out past the hearing date, if they weren't trying to camouflage it? This entire fast shuffle in our IL Assembly is nauseating! Garnet Dawn Illinois Smokers Rights - http://www.illinoissmokersrights.com The Smoker's Club, Inc. - Midwest Regional Director The United Pro Choice Smokers Rights Newsletter - http://www.smokersclubinc.commailto:garnetdawn@comcast.net - Respect Freedom of Choice!
Smoke-Free Illinois -- Round 2
Sept. 21, 2007 So the casinos are leading the charge to cut some loopholes into the Smoke-Free Illinois Act that goes into effect Jan. 1. Good luck on that. Unless sheer hypocrisy and pure greed have totally overtaken the Illinois Legislature, the exemption idea is going nowhere. Why would a lawmaker who voted for the smoking ban a couple of months ago agree to weaken the law? The argument being advanced by the casinos and like-minded businesses is that the ban will cut sharply into their revenue, particularly in border areas. But that argument, made by a good many legislators during the recent debate, was tossed out by the majority. For the majority, it's not about business and making money. . It's about your health. The very first words in the Smoke-Free Illinois Act are, `An Act concerning public health...' For the health-minded majority, exempting casinos would in effect declare that health of casino workers is of less moment than that of workers in other types of businesses. Are they to be afforded fewer health protections under the law than it affords other workers? I'm guessing members of the majority aren't hypocritical enough to back off. That leaves greed. The casinos are playing on that. They've come up with some numbers from somewhere -- the smoking ban will cost them $144 million a year, they say. Oh, oh. That hits the state, too. The tax structure on casinos is somewhat complex (natch), but in essence the boats pay the state between 15 and 70 percent of the take, with the boats taking in the most paying the highest rates. In practical terms, to use August as an example , the boats took in $172.7 million; the state got $69.1 mil of it and the communities in which the boats operate got $10.1 mil -- an overall tax rate of 45 percent. Let's see -- 45 percent of $144 million; that would be about $64 million. That's fairly serious money for the wastrels in Springfield to give up. Maybe some of the formerly health-minded lawmakers will suddenly develop new respect for the libertarian and business arguments they rejected earlier this year. The casinos aren't alone in the fight. The proposed new exemptions, with various conditions attached, would also cover private clubs, bars that don't sell much food and entertainment venues that don't admit the under-18 crowd. It's kind of a rematch for a coalition that lost round 1 and is hoping for at least a partial recovery in round 2. Be interesting to see if any of the lawmakers switch sides. (How they voted on Smoke-Free Illinois) Personally, I thought the libertarian argument should have carried more weight than it did. Smokers have been in retreat for 30 years or so -- there's been a sea change in social attitudes about when and where it's OK to light up, and the change is widely accepted by a lot of smokers. No problem. But the smoke-free laws so widely popular these day are getting increasingly coercive and intrusive. The logic employed is kind of scary, too, It could easily be -- and probably will be -- used to justify attempts at yet more restrictions. The do-gooders are riding high. John Beydler is news editor at Quad-Cities Online. Read
STATE: Gambling expansion to fund projects 2007-09-19 STEPHANIE SIEVERS, sng2@springnet1.com , 217-524-5797 SPRINGFIELD -- The Illinois Senate is betting three new casinos, including a land-based one in Chicago, will help fund the state's first capital construction program in more than five years. On a bipartisan vote of 37-15, the Senate Tuesday approved a gambling expansion bill that also would allow existing riverboat casinos to lease additional gaming positions. The infusion of new state revenue would be used to fund everything from school construction and road projects to temporarily bailing out Chicago's mass transit system. But the measure still has to make it through the House, where there has been some reluctance by legislative leaders on both sides of the aisle to support a major gaming expansion. Gov. Rod Blagojevich, who has been at odds with House Speaker Michael Madigan for much of this year, commended senators for supporting an imperfect means for the greater good and hopes House members will do the same. Sen. Mike Jacobs, D-East Moline, was among those who voted yes, saying it will bring needed capital projects to his area. "I wish we'd had a different way to fund it but we were left with few options. The governor said no to a sales tax, the governor said no to an income tax and finally he said yes to a casino tax," he said. But Sen. Gary Dahl, R-Peru, voted no and said while a capital construction program is important, lawmakers should have found a better way to pay for it. "Gambling is not a revenue stream that you're sure of," he said. "Maybe it's there, maybe it's not. You can't put all your eggs in one basket and that's what we're doing." Under the gambling bill, the Illinois Gaming Board would determine where the other two new boats would be located. The bill's sponsor yanked an amendment that would have exempted the Casino Rock Island and boats in East St. Louis and Alton from the state's new smoking ban. The ban will prohibit smoking in public establishments such as restaurants, bars and casinos, but some lawmakers had sought to exempt boats in border communities. But Sen. Rickey Hendon, D-Chicago, pulled the exemption, saying he couldn't get enough votes for the overall gaming bill with it attached. The $13 billion state share of the capital plan would enable the state to capture another nearly $12 billion in federal funds. Nearly $2 billion would be earmarked for school construction spending over the next three years, with $149 million carved out immediately to pay the 24 school districts that were promised state funding five years ago. The proposed capital bill also includes construction money for higher education. About $550 million would be earmarked for state universities and $175 million for community colleges. Beside funneling additional money to Chicago and suburban mass transit systems, lawmakers also want to set aside $30 million for downstate transit needs. Read
Lung group's casino study finds quality of air is poor Association wants smoke ban to include gaming sites By DANA HEUPEL STATE CAPITOL BUREAU September 15, 2007 A study commissioned by the American Lung Association of Illinois found unhealthy air levels in an East St. Louis casino, even though relatively few of the patrons were smoking, organization representatives said Friday. The results indicate that casinos should not be exempted from a statewide smoking ban set to take effect Jan. 1, Kathy Drea, the Lung Association's director of public policy, said during a Statehouse news conference. Lung Association volunteers, including Drea, assisted in the study, which was conducted by the Roswell Park Cancer Institute of Buffalo, N.Y. They and researchers secretly measured air quality during two three-hour visits to the Casino Queen in August, Drea said. The study found that the average level of fine-particle indoor air pollution on the gaming floor was 16 times higher than outdoors, exposing employees and patrons to levels that the U.S. Environmental Protection Agency would define as "very unhealthy," Drea said. Particles of that size are released in significant amounts from burning cigarettes, the Lung Association said in a news release. About 61/2 percent of those in the casino were smoking, according to the study. "There were very few smokers, but their smoking significantly impacted the air quality in the casino," Drea said. She questioned industry reports that up to 70 percent of casino patrons are smokers. The gaming industry and various lawmakers are trying to persuade the legislature to exempt casinos from the law that will ban smoking in all public places. They say the Illinois ban would give a competitive advantage to casinos in nearby states.Drea said the Lung Association believes it has enough support in the Senate to defeat such an exemption. "Our main concern is that they will roll the casino exemption into the capital bill," Drea said. That would mean to vote against the smoking exemption, lawmakers also would have to vote against construction projects in their legislative districts. Tom Swoik, executive director of the Illinois Casino Gaming Association, said he didn't know enough about the study to question its findings. He suggested, however, that perhaps a new ventilation system in the newly reopened casino was not yet fully functioning or that some of the particulate matter might have been dust from recent construction in the area. He said the Casino Queen and the Casino Rock Island both conducted surveys of patrons that showed from 60 percent to nearly 70 percent of them were smokers. The gaming industry, Swoik said, is asking for a five-year exemption from the smoking ban, or until bordering states also prohibit smoking in public places. Dana Heupel can be reached at 788-1518 or dana.heupel@sj-r.com. Read_____________________________________ American Lung Association: Don't exempt casinos from ban By Mike Riopell mike.riopell@lee.netSeptember 15, 2007 SPRINGFIELD — Anti-smoking advocates Friday said they’re anticipating yet another push by lawmakers to exempt casinos from Illinois’ soon-to-be indoor smoking ban. The American Lung Association of Illinois released a study Friday that it said reiterates casino workers’ health can be damaged by smoky gaming rooms. The smoking ban on all indoor public places is set to kick in Jan. 1. But lawmakers have pushed to get a five-year exemption for casinos. “Why would casino workers, especially at this high risk level, be exempt?” ALA spokeswoman Kathy Drea asked. “It just doesn’t make any sense.” The group conducted the undercover study at the Casino Queen in East St. Louis without telling management. Advocates entered with small air-quality analyzers on two separate days last month to get their data. Tom Swoik, director of the Illinois Casino and Gaming Association, said no one in the industry knew about the ALA report before it was announced to reporters Friday. “This was a surprise to all of us,” Swoik said. The study suggests a small percentage of gamblers smoke. But supporters of the casino exemption said gamblers who want to smoke could leave casinos near Illinois borders and go out of state. State Sen. Mike Jacobs, D-East Moline, suggested that there should be another study after the smoking ban takes effect to count the missing gamblers. Swoik said he’s still pushing for an exemption. A vote could come as early as Monday if the Senate holds to its plans and meets. Lawmakers are considering adding two or three casinos in Illinois to pay for a long-awaited statewide construction plan to build and repair schools, bridges and roads. Drea said she thinks lawmakers might try to add the smoking exemption into the gambling expansion plan. It could be tough to vote against a plan for new capital construction even if a lawmaker disagrees with the smoking exemption. “If we can keep that vote separate … I believe that we can defeat it,” Drea said of the casino exemption. “But if they roll it into that capital bill, I’m not so sure.” Read
Illinois casinos could be crippled by smoking ban June 13, 2007 While the editorial “Don’t gamble on health with exceptions for casinos” (OurViews, June 7) is an altruistic picture of the effect of the smoking ban on casinos, many factors were not considered that could potentially cripple Illinois casinos. Illinois gaming requires a “per head” charge on each patron entering the casino. Nearly all Illinois casinos either have little or no access to the outdoors. Thus, the smoking ban would require either corporations to invest more money in creating outdoor smoking sections or patrons to leave the premises to smoke. Coupled with stiff taxation of casino revenues, this could potentially lead to the return of an admissions charge. Further, as a non-smoker, I base my casino play on a number of factors, none of which has to do with air quality. I understand that casino employees are at risk, but they choose to be in an industry where smoking is a norm. Additionally, most casino employees would state that the smoking ban would lower tipping, as patrons would not be sitting at the tables, slots or video machines as long. Finally, all but two of the casinos in Illinois — Par-a-Dice in East Peoria and Harrah’s Metropolis — face formidable competition from states that are not considering such a proposal. Casino patrons are more likely to travel to Indiana, Iowa, Missouri or even farther to get more “bang for their buck,” especially if they can’t smoke in their own state. This will significantly lower the amount of tax dollars generated by casinos, and Illinois will face an even larger burden. Rep. Bill Brady certainly took these factors into consideration when he wisely voted in support of the amendment. Hopefully, our lawmakers will make this realization before Illinois gaming is crippled beyond repair. Jeremy Gray Normal ReadBusinesses hope to be exempt from smoking lawJune 4, 2007 The new law banning smoking in public places begins Jan. 1, and there are businesses already working to be exempt from the measure. The gaming river boats across the state have started the process to be exempt from the no smoking law. Smoking ban in casinosNorthwest Herald - Crystal Lake,IL,USA
Is everyone willing to pay their fair share? It's going to be very interesting to see if this smoking ban includes the casinos and if it really is free. Plan to exempt casinos from smoking ban clears hurdleBloomington Pantagraph - Bloomington,IL,USA
A panel of state lawmakers approved a measure Tuesday that would burn the first loopholes in the proposed statewide smoking ban. The ban, which awaits Gov. ...
Now, there are two pending bills on behalf of gambling to protect them from SB500 Smoke Free Illinois. One for a Riverboat Casinos Examption (HB 0025), which is an amendment to an existing law, with two new amendments attached to it, and this one.... Here is SB 890 What a ridiculous legislative mess! -------------------- Illinois lawmaker looks to alter smoking ban 05/24/2007
By Kevin McDermott SPRINGFIELD, Ill. — Just weeks after the Legislature approved a bill that will make all public places in Illinois smoke-free next year, a Metro East lawmaker has quietly moved to exempt the Fairmount Park horse-racing track, the Casino Queen and the Argosy Casino in Alton. The highly publicized statewide smoking ban was sent to Gov. Rod Blagojevich this month, and the Democratic governor has indicated he will sign it. The bill, as passed, would ban smoking in all indoor public places, including casino riverboats and horse-racing tracks. Sen. James Clayborne, D-Belleville, filed two measures Wednesday that seek to alter that soon-to-be-enacted law. One of the measures would lift the ban from all gambling facilities within 10 miles of a state border; the other would specifically lift the ban from riverboats within five miles of a border. The measures would keep the ban off those facilities for five years, or until the neighboring state passes its own ban. Both measures were filed as amendments to a gaming bill pending in the Senate. Clayborne's amendments would apply to four of Illinois' nine boats: the Casino Queen in East St. Louis, Argosy Casino in Alton, Jumer's Casino in Rock Island and Harrah's Casino in Metropolis. It was questionable Wednesday whether the proposal has a realistic chance at passage. During negotiations on the statewide smoking ban this year, the casino industry lobbied hard to have all casinos exempted from the ban but failed to win that battle. Among their arguments was that boats in interstate markets, like the Metro East area, would lose customers to casinos in neighboring states that allowed smoking. A casino industry spokesman said Wednesday that Clayborne's bill, focused just on the border areas, might not have wide support even within the gaming community. "From the (our) perspective, we are still supportive of a bill that would (exempt) all casinos," said Tom Swoik, executive director of the Illinois Casino and Gaming Association, which represents all nine riverboat casinos. Mike Grady of the American Cancer Society said Wednesday, "This is the first of what will be many attempts to water down this important health care legislation.'' State campaign finance records show that Clayborne has accepted more than $35,000 in political contributions from the Casino Queen since the mid-1990s, and $4,500 from the current owners of the Argosy at Alton. Clayborne didn't return messages left at his Springfield office Wednesday afternoon. The smoking ban bill awaiting Blagojevich's signature is SB500. The bill to which Clayborne is trying to attach his amendments is SB890. State campaign finance records show that Clayborne has accepted more than $35,000 in political contributions from the Casino Queen since the mid-1990s, and $4,500 from the current owners of the Argosy at Alton. Clayborne didn't return messages left at his Springfield office Wednesday afternoon. The smoking ban bill awaiting Blagojevich's signature is SB500. The bill to which Clayborne is trying to attach his amendments is SB890. Erik Potter of the Post-Dispatch contributed to this report. Read
Penn National wants to keep casino
24 May 2007 JOLIET, Illinois -- As reported by the Chicago Herald News: "Penn National Gaming wants to keep the Empress Casino. The company that owns the Empress this week asked state regulators to lift a mandate to sell the casino by June 30, 2008. Wyomissing, Penn.-based Penn National again is making a case that the Illinois market is too volatile to make a sale as legislators make plans to expand gambling, ban smoking and enact other laws that can affect casino profits. Penn National acquired both the Empress and an Alton casino when it bought Argosy Gaming in 2005. The acquisition gave Penn National, which already owned Hollywood Casino in Aurora, three Illinois casinos. But the Illinois Gaming Board wouldn't let the deal, which included casinos in other states, go through until Penn National signed off on an agreement to sell the Empress and Alton casino..." Read
Smoking ban exemption: casinos?
Legislators say they're "exploring the idea" May 10, 2007
By Nishi Gupta PEORIA -- Some state legislators say riverboat casinos should be exempt from the state-wide smoking ban that is expected to be signed into law by the governor. Legislators are exploring the possibility of giving riverboats a break because they say they add to the state's bottom line. If a couple state representatives get enough support from other legislators, there's a possibility an amendment to the law could be drafted. Local bar owners have gotten wind of the talk- they say this would be unfair. They feel the gaming industry can afford lobbyists and say the money is clearly talking. "We belong to a couple of associations that are saying, 'Hey, listen. If it's good enough for us and it's good enough for our customers then its good enough for theirs.' We understand that it's a billion dollar industry, but guess what, ours added up is a lot of money, too," said Pat Sullivan, owner of Kelleher's Irish Pub in Peoria. If the governor signs the state-wide smoking into law, it will be effective January first. Read
Smoking ban would apply to casinos
Attempt to exempt gaming boats fails in state Senate 3/31/07
By SANFORD J. SCHMIDT SPRINGFIELD - A bill banning smoking in bars and restaurants also would apply to casinos such as the Argosy and could cost Alton big bucks. The bill passed the Illinois Senate late Thursday, but an attempt to exempt casinos such as Argosy from the requirements of the measure for three years failed. State Sen. William Haine, D-Alton, voted against the bill, and state Rep. Dan Beiser, D-Alton, said he also opposes the measure. Haine said the bill was too broadly written so as to ban smoking in places, such as taverns, where people go voluntarily. Beiser said such a ban would be an unnecessary intrusion on businesses and on local governments. "Right now, each city and local community has the option to ban smoking in bars and restaurants," Beiser said. Haine noted the economic harm that could be done to businesses and private clubs, such as the VFW or Knights of Columbus, as well as the damage the ban could do to the casino, the public schools and cities such as Alton. The bill is before the Illinois House, where it has a good chance of passing. The House also has a version of the measure. Beiser said the House is in recess until April 17, so no action will be taken before then. The Senate bill would ban smoking in all indoor public areas, including bars, restaurants and casinos, and within 15 feet of an entrance to a public building. People still would be allowed to smoke in hotel rooms and in private rooms at nursing homes. The bill was backed vigorously by groups such as the American Cancer Society. Officials with the anti-smoking groups say people who work in places where smoking is allowed inhale the equivalent of nearly a pack of cigarettes a day in secondhand smoke. "The American Cancer Society supports this legislation and believes everyone should have the right to breathe clean air, including those who work in bars and restaurants," said Julie Gustafson, a spokeswoman for the American Cancer Society's Metro East office. She said eight Illinois residents die per day from smoking-related illness, including those related to secondhand smoke. Haine said he appreciates the views expressed by the Cancer Society and others. "I very much enjoyed discussing the issue with the many people who called me. They are well-meaning, and I share many of their beliefs," he said. He said the question in his mind was whether to ban the choice of people who choose to assume a voluntary risk. In places where people are thrown together through no choice of their own, the issue would be a different matter, he said. He also noted that the bill would be costly to the state, including the common schools fund. The Illinois Department of Revenue estimates that the bill would reduce tax revenues collected under the Cigarette Tax Act and the Cigarette Use Tax Act by about $24 million to $60 million per year in sales taxes. A study of a similar bill in Maryland showed that a ban in that state would reduce gaming revenue by 20 percent. If applied to the $800 million to $1 billion in gaming revenue for the state of Illinois, the formula would result in a $200 million revenue loss. "It would come right out of the common school fund and Alton city revenues," Haine said.
Casinos would get time to adjust to potential ban March 29, 2007
By Mike Riopell, The Southern Springfield Bureau
SPRINGFIELD - If lawmakers decide to outlaw smoking in all Illinois workplaces this year, casinos could have three years to adapt. Health groups and lawmakers have been pushing for a statewide smoking ban that would include bars, restaurants and casinos, effective Jan. 1, 2008. But concern arose that smoking gamblers at riverboats near the state borders could cross the line and go to other casinos. So the legislation was changed to include a three-year phase-in period for casinos, said state Sen. Terry Link, a Vernon Hills Democrat and the plan's sponsor. A Senate committee approved the change Wednesday by a 10-0 vote. The proposed ban could come up for a vote in the Senate as early as Thursday. Though he voted for it, state Sen. Dale Righter, a Mattoon Republican, questioned delaying a ban meant to protect workers from the health harms of second-hand smoke. "What's the difference between the employee of a casino and the employee of a tavern?" he asked. Righter suggested that while bartenders, for example, would be protected immediately by the proposed ban, three years would be enough time for a casino dealer to be harmed. The unanimous committee tally might not be indicative of how the full Senate will vote. State Sen. Rickey Hendon, a Chicago Democrat, said that while he voted "yes" Wednesday, he might not do so again. Referencing the videotaped beating of a Chicago bartender, he said: "It's dangerous working in a bar anyway." ---------------------------------------------- Also, the newly introduced amendment to SB500 for casinos. Compliments of Terry Link, Vernon Hills. Read
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